Question

Sole traders do not have to file a business tax return on the company's profits and losses.

• A. True
• B. False

Answer 1

The correct option is A True

Sole trader do not have to file a business tax return on a company's profits and losses- this is a true statement. Sole trader starts his/her business with an objective of earning independent livelihood using his/her skills. Sole traders operate mostly on a small-scale basis and their number is large. Sole trader can be referred as the single individual who takes all initiatives and run the business.